Quick Tip: Pay yourself first

This is an old one but is tried and true. The principle is to have your savings setup on an autodraft basis. Workplace retirement accounts like 401k’s are great for this. If your paycheck is direct deposited into your account, most banks will allow you designate a portion of it that is automatically transferred to a savings account. Other Savings or Investment accounts can be setup to automatically withdraw from your account as well.

The beauty of these plans are two-fold:

Since the money doesn’t really land for long, if at all, in your checking account, you don’t really miss it so much.

It forces you into the style of slow, consistent saving over a long period of time that enables you to really win financially in the long-term.

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